Are we close to observe a breakout on NVAX ?

Novavax COVID-19 vaccine more than 90% effective in U.S trial according to Reuters. Despite positive news (which we do not trade), we will share with you our current view on Novavax.

a) The price is inside a descending Wedge, and due to positive news, we are observing a bullish GAP, and we may see the price outside the Wedge pattern

b) The general strategy we will use to develop bullish setups on the pharmaceutical company is waiting for the price to reach 250 - 270 and then an ABC corrective pattern, as you can see on the chart.

c) IF that scenario happens, we will trade above B, and our stop loss will be set below C

d) Regarding the targets, we will be using the Fibo Extensions of the major descending wedge


Thanks for reading!